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Economic growth and economic crisis

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  • Victor Anderson

Abstract

This article argues that the recent financial crisis was caused largely by the long-term problem of the current world economy lacking a sustainable path of development. Limits to growth – expressed principally through rises in the price of oil and other commodities – created a crisis for the global financial system, which has been based essentially on the assumption that economic growth will continue indefinitely. A mismatch was thereby created between the 'real economy' and the finance sector.

Suggested Citation

  • Victor Anderson, 2009. "Economic growth and economic crisis," International Journal of Green Economics, Inderscience Enterprises Ltd, vol. 3(1), pages 19-27.
    • Handle: RePEc:ids:ijgrec:v:3:y:2009:i:1:p:19-27
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